valley rental houisng journal - march 2015

8
By Heather Hill and Jason Campbell O n April 16, 2015, all residen- tial water heaters manufac- tured for sale in the United States will be required to meet new efficiency standards as the third phase of a nationwide energy conser- vation effort takes effect. The National Appliance Energy Conservation Act regulates the ener- gy consumption of certain house- hold appliances including furnaces, boilers, refrigerators and water heat- ers. According to the Appliance Standards Awareness Project, water heating represents 20% of the total annual household energy consump- tion in the US, and on average 57% of this energy is lost in inefficient heat- ers. The US Department of Energy (DOE) released its first mandatory standards in 1990.The second phase, enacted in 2004, tightened standards the most significantly of the three phases, and was estimated to avoid 316.8 million metric tons of carbon dioxide emissions. The 2015 stan- dards will avoid 172.5 million metric tons of emissions, equivalent to the annual greenhouse gas emissions of about 33.8 million cars, according to the DOE. The mandatory standards dictate that manufacturers meet the maxi- mum energy efficiency levels techni- cally feasible and economically justi- fied. The DOE conducts product reviews and updates the standards on a regular schedule. Note, that while the manufacturers cannot make any water heaters with the old standards after the April date, they will be allowed to continue to sell the old inventory until the supply is exhausted. As of the date of this post, manufacturers have not released the compliant replacement heaters for their obsolete products. Though energy efficient models do exist in the marketplace, they have been built and promoted as specialty products and priced accordingly. Conversely, the replacement heaters will repre- sent the new normal. What is changing? The Energy Factor (EF) represents the ratio of useful energy output from the water heater to the total amount of energy used to operate it. The higher the EF rating, the more energy efficient is the water heater. The type of fuel, volume and mechan- ics of the heater all factor into its rat- ing and coinciding standard. For example, tabletop and instantaneous electric heaters already meet the EF standards and thus no changes will take place for those heaters. The new requirements will most significantly affect gas-fired and elec- tric heaters over 55 gallons as well as all instant gas heaters. The chart below outlines how the standards apply to each style of heater. Advertise in Rental Housing Journal VALLEY Circulated to over 6,000 Apartment owners, On-site, and Maintenance personnel monthly. Call 503-221-1260 for more info. Rental Housing Journal Valley EUGENE • SALEM • ALBANY • CORVALLIS V WWW.RENTALHOUSINGJOURNAL.COM • PROFESSIONAL PUBLISHING, INC March 2015 F HCO often receives questions from both housing consumers and housing providers about tenant screening for applicants who do not have a Social Security num- ber (SSN). With President Obama’s immigration action, approximately 4 million U.S. residents who are cur- rently undocumented will have the opportunity to apply for work per- mits and SSNs. The campaign around Measure 88 (the “driver card” mea- sure) also brought discussions of im- migration in Oregon to the forefront last this fall. Whatever your personal political position is on these recent events, the fact remains that many Oregon hous- ing seekers do not have an SSN, and many will still not even when the President’s programs are activated. The fact is that the Fair Housing Act and Oregon anti-discrimination law apply to everyone present in the US, regardless of immigration status. FHCO recognizes the importance of thorough tenant screening. Did you know that criminal history infor- mation can be acquired without an SSN and, of course, current and past landlords can provide rental history and references? Applicants may be able to provide other information Professional Publishing, Inc PO Box 30327 Portland, OR 97294-3327 continued on page 2 continued on page 7 PRSRT STD US Postage PAID Portland, OR Permit #5460 New Residential Water Heater Efficiency Standards 3. Spring Maintenance Checklist 4. Seeking Customer Loyalty? Build Good Business Relationships 6. Secret Shopper Q&A " The FHA and Oregon anti- discrimination law apply to everyone present in the US, regardless of immigration status. Screening Without Social Security Numbers: There are Options! By Jo Becker, Education/Outreach Specialist, Fair Housing Council of Oregon S trong job growth is sustaining considerable demand for apart- ments in the metro and pushing up rents. By the end of 2015, nearly 14,000 new units will have been add- ed to rental stock over the past four years, yet market wide vacancy will remain below 4 percent for the fourth consecutive year. A large portion of apartment demand is coming from young professionals desiring to live in an urban environment. The higher cost of city living, however, is gen- erating the need for more affordable housing options, including micro apartments. Micro units, which are typically less than 400 square feet, will soon be available in Northwest Portland, downtown and in the Hol- lywood District. At the other end of the spectrum, condo construction has resumed in the Pearl District. The well-appointed units will increase competition for nearby luxury rent- als. Apartment construction is also picking up in suburban areas, espe- cially where employment, transit, restaurants and shopping are close by. Marcus Millichap.com After Four Years of Elevated Construction, Vacancy Will Finally Rise in Portland

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Valley RHJ is the monthly business journal for multifamily investors, property managers, landlords, apartment owners and other real estate professionals in Oregon's Willamette Valley.

TRANSCRIPT

By Heather Hill and Jason Campbell

On April 16, 2015, all residen-tial water heaters manufac-tured for sale in the United

States will be required to meet new efficiency standards as the third phase of a nationwide energy conser-vation effort takes effect.

The National Appliance Energy Conservation Act regulates the ener-gy consumption of certain house-hold appliances including furnaces, boilers, refrigerators and water heat-ers. According to the Appliance Standards Awareness Project, water heating represents 20% of the total annual household energy consump-tion in the US, and on average 57% of this energy is lost in inefficient heat-ers. The US Department of Energy (DOE) released its first mandatory standards in 1990.The second phase, enacted in 2004, tightened standards the most significantly of the three phases, and was estimated to avoid

316.8 million metric tons of carbon dioxide emissions. The 2015 stan-dards will avoid 172.5 million metric tons of emissions, equivalent to the annual greenhouse gas emissions of about 33.8 million cars, according to the DOE.

The mandatory standards dictate that manufacturers meet the maxi-mum energy efficiency levels techni-cally feasible and economically justi-fied. The DOE conducts product reviews and updates the standards on a regular schedule. Note, that while the manufacturers cannot make any water heaters with the old standards after the April date, they will be allowed to continue to sell the old inventory until the supply is exhausted. As of the date of this post, manufacturers have not released the compliant replacement heaters for their obsolete products. Though energy efficient models do exist in the marketplace, they have been built and promoted as specialty products

and priced accordingly. Conversely, the replacement heaters will repre-sent the new normal.

What is changing?The Energy Factor (EF) represents

the ratio of useful energy output from the water heater to the total amount of energy used to operate it. The higher the EF rating, the more energy efficient is the water heater. The type of fuel, volume and mechan-ics of the heater all factor into its rat-ing and coinciding standard. For example, tabletop and instantaneous electric heaters already meet the EF standards and thus no changes will take place for those heaters.

The new requirements will most significantly affect gas-fired and elec-tric heaters over 55 gallons as well as all instant gas heaters. The chart below outlines how the standards apply to each style of heater.

Advertise in Rental Housing Journal VALLEY Circulated to over 6,000 Apartment owners, On-site, and

Maintenance personnel monthly.

Call 503-221-1260 for more info.

Rental Housing Journal Valley

EUGENE • SALEM • ALBANY • CORVALLIS

EUGENE • SALEM • ALBANY • CORVALLIS

VALLEYWWW.RENTALHOUSINGJOURNAL.COM • PROFESSIONAL PUBLISHING, INC

March 2015

FHCO often receives questions from both housing consumers and housing providers about

tenant screening for applicants who do not have a Social Security num-ber (SSN). With President Obama’s immigration action, approximately 4 million U.S. residents who are cur-rently undocumented will have the opportunity to apply for work per-mits and SSNs. The campaign around Measure 88 (the “driver card” mea-sure) also brought discussions of im-migration in Oregon to the forefront

last this fall.

Whatever your personal political position is on these recent events, the fact remains that many Oregon hous-ing seekers do not have an SSN, and many will still not even when the

President’s programs are activated. The fact is that the Fair Housing Act and Oregon anti-discrimination law apply to everyone present in the US, regardless of immigration status.

FHCO recognizes the importance of thorough tenant screening. Did you know that criminal history infor-mation can be acquired without an SSN and, of course, current and past landlords can provide rental history and references? Applicants may be able to provide other information

Professional Publishing, IncPO Box 30327Portland, OR 97294-3327

continued on page 2

continued on page 7

PRSRT STDUS Postage

PAIDPortland, OR Permit #5460

New Residential Water Heater Efficiency Standards

3. Spring Maintenance Checklist 4. Seeking Customer Loyalty? Build Good Business Relationships

6. Secret Shopper Q&A

"The FHA and Oregon anti-discrimination law apply to everyone present in the

US, regardless of immigration status.

Screening Without Social Security Numbers: There are Options!

By Jo Becker, Education/Outreach Specialist, Fair Housing Council of Oregon

Strong job growth is sustaining considerable demand for apart-ments in the metro and pushing

up rents. By the end of 2015, nearly 14,000 new units will have been add-ed to rental stock over the past four years, yet market wide vacancy will remain below 4 percent for the fourth consecutive year. A large portion of apartment demand is coming from young professionals desiring to live in an urban environment. The higher cost of city living, however, is gen-erating the need for more affordable housing options, including micro apartments. Micro units, which are typically less than 400 square feet, will soon be available in Northwest Portland, downtown and in the Hol-lywood District. At the other end of the spectrum, condo construction has resumed in the Pearl District. The well-appointed units will increase competition for nearby luxury rent-als. Apartment construction is also picking up in suburban areas, espe-cially where employment, transit, restaurants and shopping are close by.

Marcus Millichap.com

After Four Years of Elevated Construction,

Vacancy Will Finally Rise in Portland

2 Rental Housing Journal Valley • March 2015

RENTAL HOUSING JOURNAL VALLEY

Screening Without... continued from front page

such as proof of "x" number of recent months’ paid utility bills, rent, or other regular monthly bills that can show a pattern of timely payment.

Individuals who do not qualify for an SSN may often have an ITIN (Individual Taxpayer Identification Number). This number allows for reporting to the IRS and in some cases for opening other accounts. After having consulted with screen-ing companies and the credit bureaus, it does not appear that this will allow a credit report to be pulled in the same way that an SSN does.

What we suggest when an appli-cant has no SSN is to say “show me what you can” rather than a flat “no.” At that point, your screening company should be able to give you an informed estimate about how much time and money an evaluation could cost. Costs may vary so shop your screening company. Once you have a cost estimate, inform the con-

sumer and, if you wish and do so consistently, you may then pass this cost on to them if they want to con-tinue with the application.

NOTE: This is a deviation from offi-cial FHCO opinion in the past that higher costs for manual screening with-out a SSN should not be passed on to the applicant. At this point there isn’t local or federal case law to provide guidance; however, we feel our current position is a reasonable balance between consum-ers’ rights and housing providers’ con-cerns. Case law has well established that it is inappropriate and illegal for a hous-ing provider to charge someone to have an assistance animal, or a change to a guest policy to have a caregiver visit however many days a week, etc. With respect to screening a tenant without SSN; however, we are not talking about a disability-related modification / accom-modation.

1Federally protected classes under the Fair Housing Act include: race, color, national origin, religion, sex, familial status (children), and disability. Oregon law also protects marital status, source of income, sexual orientation, and domestic violence survivors. Additional protected classes have been added in par-ticular geographic areas; visit FHCO.org/mission.htm and read the section entitled “View Local Protected Classes” for more information.

It is still our position that a refusal to review alternative documentation when a SSN is not available will have a negative and disparate impact on individuals whose national origin is not the US, thereby having a dis-parate impact on that protected class. Therefore, a policy or practice of not accepting applicants because they do not have a SSN is not appropriate. That said, we feel that passing on actual additional costs of screening in a situation like this as a legitimate business expense that could be passed on to the applicant.

It should be noted that we never recommend folks (whether they are immigrants or not) lie or use a false identification number. If applicants provide false information, they risk denial (or eviction) on the basis of having lied on the application.

Technologies are changing, as are bank and lender policies, and it is important to be open to the opportu-nities that this may present for improved screening of individuals without SSNs. A presumption that those without a social security num-ber cannot use a bank or get certain loans or credit cards is incorrect. There are both large national banks and smaller community credit unions that work with these indi-viduals. Additionally, individuals without a SSN are able to request a

copy of their own credit report through Experian (one of three main credit bureaus). Experian will attempt to use data points such as name, date of birth, current and last addresses, and any transactions with an ITIN, to provide the individual with a report. The individual can then present this to a prospective landlord who is willing to accept a self-requested report.

Housing providers need to be careful, too, of assumptions about household make-up based on race or national origin. If a landlord has a problem with residents who do not comply with the rental contract, they should deal with that appropriately under landlord / tenant law. Landlords should not assume “cer-tain kinds of people” have larger or extended families that will exceed reasonable occupancy policies, or be louder or cause greater damage to the property than other households, etc. and base their rental decisions on such assumptions. Landlords should, instead, set reasonable occu-pancy standards (http://www.fhco.org/occupancy.htm) and enforce them equally across all of their units with all applicants and tenants. Landlords should not presume “those people” (insert any protected class you wish) would necessarily behave inappropriately or violate

"A refusal to review alterna-tive documentation when a SSN is not available will

have a negative & disparate impact on individuals whose national origin is not the US, thereby having a disparate im-pact on that protected class.

continued on page 3

Rental Housing Journal Valley • March 2015 3

RENTAL HOUSING JOURNAL VALLEY

Screening Without... .continued from front page

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5. Value - Large property management companies that use Rentegration.com for only forms generation will save time and money over other methods. Mid and small size property managers and independent rental owners can manage their entire business at a fraction of the cost of other software and forms.

48-HOUR NOTICE OF ENTRYTENANT(S): ____________________________________________________ DATE:________

ADDRESS: ____________________________________________________ UNIT: _________

CITY: _________________________________________ STATE: __________ ZIP: _________48-HOUR NOTICE OF ENTRY

Pursuant to RCW 59.18.150, this is your 48 hour notice that your landlord or their agents will be

entering the dwelling unit and premises located at (Address)______________________________________________________________________________on between the hours of and . (Date) (Time) (Time)The entry will occur for the following purpose:______________________________________________________________________________

______________________________________________________________________________

Landlord Phone

Method of Service: Personal Service: Post and Mail: ** Add one additional day for compliance if served by post and mail.

WA-RTG-40 Washington

©2009 NO PORTION of this form may be reproduced without written permission.

CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________ADDRESS: ________________________________________________UNIT: ______________CITY: ___________________________________ STATE: ________ ZIP: _________________Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor IN Out In Out In OutLIVING AREAS KITCHEN BEDROOM 3Walls Walls Walls

Windows Stove/Racks WindowsBlinds/Drapes Refrigerator Blinds/DrapesRods Ice Trays RodsFloor Shelves/Drawer FloorCarpet/Vinyl/Wood Disposal Light FixturesLight Fixtures Dishwasher Doors/WoodworkDoors/Woodwork Counter Tops LocksLocks Cabinets CeilingsCeilings Sink Electric OutletsElectrical Outlets FloorGarbage Cans WindowsTV Antenna/Cable Blinds/Drapes BATH ROOMFireplace

Towel BarsCleanlinessSink & Vanity

ToiletBEDROOM 1 BEDROOM 2 Tub/ShowerWalls Walls Fan (Exhaust)Windows Windows FloorBlinds/Drapes Blinds/Drapes Electric OutletsRods Rods Light FixturesFloor FloorLight Fixtures Light Fixtures Essential ServicesEssential ServicesDoors/Woodwork Doors/Woodwork PlumbingLocks Locks HeatingCeilings Ceilings ElectricityElectrical Outlets Electric Outlets Hot Water

Smoke Detectors

OR-RTG-20 Oregon

©2011 NO PORTION of this form may be reproduced without written permission.

PET AGREEMENTTENANT INFORMATION

TENANT(S): ____________________________________________________ DATE:________ADDRESS: ____________________________________________________ UNIT: _________CITY: _________________________________________ STATE: __________ ZIP: _________

DESCRIPTION OF PET(S)

1) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

2) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

3) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

Additional Security Deposit Required:$

AGREEMENTTenant(s) certify that the above pet(s) are the only pet(s) on the premises. Tenant(s) understands that the additional pet(s) are not permitted unless the landlord gives tenant(s) written permission. Tenant(s) agree to keep the above-listed pets in the premises subject to the following terms and conditions:

1) The pet(s) shall be on a leash or otherwise under tenant’s control when it is outside the tenant’s dwelling unit. 2) Tenant(s) shall promptly pick up all pet waste from the premises promptly. 3) Tenant(s) are responsible for the conduct of their pet(s) at all times. 4) Tenant(s) are liable for all damages caused by their pet(s). 5) Tenant(s) shall pay the additional security deposit listed above and/or their rental agreement as a condition to keeping the pet(s) listed above. 6) Tenant(s) shall not allow their pets to cause any sort of disturbance or injury to the other tenants, guests, landlord or any other persons lawfully on the premises. 7) Tenant(s) shall immediately report to landlord any type of damage or injury caused by their pet. 8) This agreement is incorporated into and shall become part of the rental agreement exe -cuted between the parties. Failure by tenant to comply with any part of this agreement shall constitute a material breach of the rental agreement.

_____________________________ ______________________________Landlord Tenant ______________________________ Tenant

OR-RTG-24 Oregon

©2011 NO PORTION of this form may be reproduced without written permission.

CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________

ADDRESS: ________________________________________________UNIT: ______________

CITY: ___________________________________ STATE: ________ ZIP: _________________Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor IN OutIn Out

In Out

LIVING AREASKITCHEN

BEDROOM 3

Walls

Walls

WallsWindows

Stove/RacksWindows

Blinds/DrapesRefrigerator

Blinds/DrapesRods

Ice TraysRods

Floor

Shelves/DrawerFloor

Carpet/Vinyl/WoodDisposal

Light FixturesLight Fixtures

DishwasherDoors/Woodwork

Doors/WoodworkCounter Tops

LocksLocks

CabinetsCeilings

CeilingsSink

Electric OutletsElectrical Outlets

Floor

Smoke DetectorsGarbage Cans

WindowsTV Antenna/Cable

Blinds/DrapesBATH ROOM

Fireplace

Towel BarsCleanliness

Sink & Vanity

ToiletBEDROOM 1

BEDROOM 2Tub/Shower

Walls

Walls

Fan (Exhaust)Windows

WindowsFloor

Blinds/DrapesBlinds/Drapes

Electric OutletsRods

Rods

Light FixturesFloor

FloorLight Fixtures

Light FixturesEssential ServicesEssential Services

Doors/WoodworkDoors/Woodwork

PlumbingLocks

Locks

HeatingCeilings

CeilingsElectricity

Electrical OutletsElectric Outlets

Hot WaterSmoke Detectors

Smoke DetectorsSmoke Detectors

WA-RTG-20 Washington

©2009 NO PORTION of this form may be reproduced without written permission.

www.rentegration.com 503-933-6437 [email protected]

state specific forms for arizona, california, colorado, indiana, KentucKy, new Jersey,

new yorK, oregon, pennsylvania, texas, utah, washington & more.

Color Standards for National Tenant Network Logo

• Logos are provided on the CD in all three forms: all black, reversed to white, or in PMS 280 Blue/PMS 7543 Gray spot or 4/color applications. Please see below for specific use examples.

• No other colors are acceptable for use for the logo.

• No altering of the logo is allowed. If you have a special circumstance that requires something not provided on the CD, please call NTN NaTioNaL HeadquarTerS 1.800.228.0989 for assistance.

• Logos should not be put over a busy background.

BLACK WHITE (with 40% gray circle)

PMS 280/PMS 7543 over colorBlue PMS 280/Gray PMS 7543

uNaCCePTaBLe CoLor uSaGe

do NoT put over a busy backgrounddo NoT change the color do NoT alter in any way

02

Exclusive Industry Partner of:

contract terms. Enforcement of rules should be consistent, based on the behavior the housing provider is concerned about and, when the rules are violated, the situations should be handled consistently.

We will continue to consult with other fair housing organizations and industry groups to assure we remain confident that our position on non-

SSN-screening is reasonable.

If you have questions about a situa-tion you have encountered, please con-

sider us a resource and contact us! Start on our website at www.FHCO.

org/national_origin.htm, as well as www.FHCO.org/hs_provider_info.htm.

This article brought to you by the Fair Housing Council; a civil rights

organization. All rights reserved © 2015. Write [email protected] to

reprint articles or inquire about ongo-ing content for your own publication.

To learn more… Learn more about fair housing and / or sign up for our

free, periodic newsletter at www.FHCO.org.

Qs about this article? ‘Interested in articles for your company or trade asso-

ciation? Contact Jo Becker at [email protected] or 800/424-3247 Ext. 150

Want to schedule an in-office fair housing training program or speaker for

corporate or association functions? Visit www.FHCO.org/pdfs/classlist.pdf

In spring, focus on freshening up your rental property and protect-ing the dwelling against the sea-

son's strong winds and rains. Use this time of the year to thoroughly clean and care for the home's interior.

Outdoor Tasks:1. Clean gutters and downspouts.2. Inspect roof and chimney for

cracks and damage.3. Wash the exterior of all windows.4. Install missing screens on win-

dows and doors. Repair as need-ed.

5. Fertilize the lawn. 6. Check decks for loose boards,

railings, or stairs.7. Professionally service heating

and cooling units.8. Check the foundation for crack-

ing as well as for insect damage.9. Remove foundation vent covers

and spigot covers.

Indoor Tasks:10. Test all smoke and carbon mon-

oxide detectors11. If the basement has a sump

pump, test it by dumping a large bucket of water into the basin of the sump pump. This should activate the sump pump. If it does not switch on or if it's not-pumping water, it may need to be serviced by a professional. Also, check for and remove any debris and make sure there are no leaks.

12. Assess the need for blind repair, cleaning or replacement.

13. Repair or replace broken or miss-ing kitchen cupboard hardware.

14. Check the attic for signs of mois-ture and water stains.

15. Check walls for condensation and mildew.

16. Check electrical panel for rust, make sure circuit breakers are operating correctly.

17. Clean dryer vents.18. Clean or replace furnace filters.

Check clothes washer hoses for cracks or swelling.

19. Check all faucets for leaks or slow drips. Detach and flush aer-ators.

20. Maintain clean drains by pouring

one-half-cup baking soda fol-lowed by one-half-cup white vin-egar into each. After 10 minutes, flush with boiling water.

Katie Poole–Hussa is a Licensed Property Manager, Continuing

Education Provider and

Principal at Smart Property Management in Portland, OR. She can

be reached with

questions or comments at [email protected]

Spring Maintenance Checklist

4 Rental Housing Journal Valley • March 2015

RENTAL HOUSING JOURNAL VALLEY

16083 SW Upper Boones Ferry Road, Suite 105, Tigard, OR 97224 503-213-1281, 503-213-1288 Fax www.multifamilynw.orgScott Arena

President, Multifamily Northwest

Seeking Customer Loyalty? Build Good Business Relationships

Property manage-ment professionals operate within an

industry based upon the delivery of sound and consistent customer service. We believe that when most effective, good customer service results in profitability and client retention. As such, we are con-stantly striving to deliver top-level customer service through our sys-tems and practices. Ultimately we trust that this will lead to customer satisfaction. But is customer satisfac-tion enough to propagate long-term business growth and sustainability? Recent studies indicate that satisfac-tion alone will not lead to the ulti-mate goal: customer loyalty.

So we have customer satisfaction on one side of the coin and customer loyalty on the other. What is the dif-ference between these two concepts? Both relate to customer service but they are VERY DIFFERENT. Despite differences, the two are interdepen-dent. Both relate to customer reten-tion and both are driven by customer

experiences.Customer satisfaction is simply a

customer’s sense of being satisfied. When content with service that is consistent and meets expectations, they are happy. But satisfaction does not always equate to long-term devo-tion. Satisfied customers will stay – but only until a better alternative presents itself – even if their expecta-tions are being exceeded. There is no emotional connection or investment – and, as such, no commitment.

By contrast, customer loyalty is what drives customers to maintain your services, keep returning, and stay through thick and thin. Too many times we make the mistake of confusing satisfied customers with loyal ones. Much research over the years has indicated no connection exists between customer satisfaction and customer loyalty. None. Simply because a customer indicates high levels of satisfaction does not mean they are or will be loyal to you. Customer loyalty is anchored in emotional connection. They are

invested, heart and mind, in what you are as a company and how they are a part of it. A sense of partnership replaces the customer definition. They are “all in” and committed to you.

What drives customer loyalty? One could argue that business rela-tionships are an essential compo-nent. These are the relationships that go beyond the standard mindset of “get the sale and just maintain the account”. The types of relationships that foster and nurture loyalty are those that are built with care, effort and sense of purpose. The following are five steps that can help individu-als and organizations build strong relationships that breed loyalty:

-Be likable. Go out of your way to be friendly and helpful. Customers and clients want to be around people that make them feel good and posi-tive. Be real. Have a sense of humor and connect on more than just a busi-ness level. Use discretion, but con-nect with positive interaction. Ask about hobbies, trips, interests, family,

etc. Find common ground, build chemistry, and connection will fol-low.

-Earn respect with professional-ism. Clients should look with admi-ration upon how you work, how you behave, and how you treat others. Are you competent? Organized? Do you follow-up? Are you among the best in your profession? Endeavor to earn and maintain respect through steady disciplined practices.

-Be admirable in all you are as a person- not just who you are at work. Clients establish long-term devotion to people with whom they are proud to associate. Are you liv-ing a life worthy of other’s respect? How do you spend free time? Family events? Charity work? Relationships migrate to a deeper level when out-side interests and causes are shared and intersect.

-Be honest and forthcoming. Always. If a problem arises, catch it early. Communicate the details to a client or customer- and have a solu-tion ready. Apologize when neces-

M041 OR Notice of Tampering with Alarm/Detector

This form was created to specifically to communicate tenant non-compliance regard-ing Smoke or Carbon Monoxide Alarms/Detectors. When ten-ants sign the Smoke/Carbon Monoxide Addendum they agree and acknowledge their responsibility to regularly test alarms, replace batteries when needed and to inform the land-lord immediately in writing with any malfunction. Tampering, disarming, or removing batteries are subject to a $250 fine per alarm, per occurrence. This statutory set fine is meant to be a deterrent from tampering and to empha-size safety dangers and liability risks of noncompliance.

WARNING: Your Rental Agreement, the rental rules and regulations, and the landlord-tenant laws require all residents to followbasic rules to protect the safety of all residents, prevent damage to property and retain a quality rental community. It has cometo our attention that you have removed or tampered with one or more properly functioning smoke alarm(s), smokedetector(s) or carbon monoxide detector(s).

Date & time of discovery of removal/tampering:__________________________________________________________________________________________________________________________________________________________________________

Location of removal/tampering:____________________________________________________________________________________________________________________________________________________________________________________________________________

Describe removal/tampering:_________________________________________________________________________________________________________________________________________________________________________________________________________________

_______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

_______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

_______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

_______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

_______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Total number of alarm(s)/detector(s) that you removed or tampered with:__________________________________________

You must pay a noncompliance fee of $__________________________________________ per alarm/detector (not to exceed $250.00).

The total fee for the above listed noncompliance(s) is $__________________________________________. Payment is due immediately. Make paymentto Owner/Agent.

This notice was served on the date set forth above (check which applies):

c Personally on the Resident at ________________________________

c If the written Rental Agreement allows, posted on the main entrance to the dwelling unit and mailed first class mail

c Mailed first class mail only

You are required to discontinue the conduct listed above. Failure to pay any noncompliance fee, or any reoccurrence of thenoncompliance listed above, may result in termination of your tenancy.

DATE __________________________________________ PROPERTY NAME / NUMBER ___________________________________________________________________________________________________________________________________________________________________

RESIDENT NAME(S) ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________

___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________

UNIT NUMBER ___________________________________ STREET ADDRESS ___________________________________________________________________________________________________________________________________________________________________________

CITY ___________________________________________________________________________________________________________________________________________________ STATE ___________________________________ ZIP _____________________________________________________________

ON SITE RESIDENT MAIN OFFICE (IF REQUIRED)

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THANK YOU FOR YOUR COOPERATION OWNER/AGENT ____________________________________________________________________________________________________________________

ADDRESS ____________________________________________________________________________________________________________________

____________________________________________________________________________________________________________________

TELEPHONE ____________________________________________________________________________________________________________________

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OREGONNOTICE OF TAMPERING WITH ALARM/DETECTOR

TIME (am / pm)

Form of the Month

Multifamily NW

Upcoming Educational Opportunities 2/24/2015 NALP: Marketing & Maintaining Your Community

2/25/2015 Basic Electrical for Spanish Speakers

2/26/2015 CAM Human Resources Part 2

3/05/2015 New Hire Training (Portland, OR)

3/11/2015 CAM: Marketing

3/11/2015 Fair Housing 150

3/13/2015 It's the Law Lunchtime Series - Fair Housing Fundamentals: A Crash Course on Claims Avoidance

3/16/2015 NALP: Why Your Competition Matters

3/18/2015 Special Invite-Only Luncheon - "Follow You Anywhere: A tribute to the excellence exhibited by ACE Award nominees"

3/19/2015 Portland Maintenance Fair

3/25/2015 CAM: Property Maintenance for Managers

3/30/2015 Unit Inspections & Turnover Techniques

...continued on page 5

Date(s): Part I – March 26, 2015 Time: 12:00-4:30pm (includes lunch)

Part II – March 27, 2015 Time: 9:00am-1:00pm

Location: Eugene Hilton, 66 East 6th Avenue, Eugene, OR 97401

These courses create an interactive environment in which attendees can get specific questions answered on real-world situations that they encounter.

Part I begins where all tenancies begin—with the rental application. Then, by chronological succession, the class takes you through rental agreements, various addendums and special circumstances.

Part II covers every end-of-tenancy scenario with the corresponding termination notice to serve and explains refunding deposits and abandoned property rules.

SIGN UP TODAY Phone: 800-632-3007 Fax: 503-213-1288 Email: [email protected] Cost per session: $85.00 - Multifamily NW Members $135.00 - Non-Members

Oregon Landlord/Tenant Law Classes Part I & Part II

Part I: Application Process and Move-in Procedures Part II: Terminations, Accounting and Abandoned Property

Earn up to 8 CEUs!

Multifamily NW • 16083 SW Upper Boones Ferry Road • Suite 105 • Tigard, OR 97224 • 503-213-1281 • Fax 503-213-1288 • [email protected] • www.multifamilynw.org

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sary. Business practices move quick-ly and are subject to both visible and unforeseen events. Anticipate it. Deception or dishonesty will only lead to suspicion and destroy trust. Avoid short cuts. Make smart deci-sions. Honesty in business dealings will earn you respect, devoted cli-ents….and loyalty.

-Maintain the relationship even after the business relationship ends. Even after a contract or service agree-ment ends (assuming upon good terms) stay in touch and communi-cate with the customer. Although your services may not be required now, let them know you are always available when needed in the future. Do not allow the relationship to dis-integrate simply because the “busi-ness benefit” has disappeared. This a valuable time to show a client your

devotion goes beyond just seeking remuneration for services. This dem-onstrates commitment and a willing-ness to be ready for service when needed down the road.

In summary, good relationships with clients that are built upon a foundation of trust will help you weather the ups-and-downs of busi-ness cycles and minimize conflicts when problems arise. Such relation-ships are catalysts in a well-rounded life and successful career. Remain faithful to your principles, don’t compromise by seeking short cuts, heed your moral compass, and you will be rewarded with happy cus-tomers who are not only satisfied…they are loyal.

6 Rental Housing Journal Valley • March 2015

RENTAL HOUSING JOURNAL VALLEY

Many apartment communi-ties have staff changes on the weekends. Some

property management companies use part-time leasing consultants or “floaters” to fill in on the weekends or to work back and forth between two or more communities. This can be a great partnership and help keep payroll expenses down OR it can cost rentals at your community. It all depends on quality communication, as

the following question will attest:

Q: I was hired to be a “floater” at several different properties. While I love the variety, I really don’t feel like I am an important part of the staff at any of the places where I work. I am not always kept current on apartment availability or the status of different problems that come up. When I ask questions to try to keep myself informed, many times I am told: “Don’t worry about it. You’re only here on the weekends.” I feel frustrated, but don’t know what I can do.

A: It sounds to me like you are

on a team that has not filled you in on the game plan! This is very unfortunate, especially in a business where there can be moment by moment changes, due to rentals, res-

ident problems and maintenance emergencies. I would advise you to put your concerns in writing; in a positive manner; and share them with the manager and/or property supervisor. For those of you who actively employ “floaters” or who share employees between properties, I would recommend leaving detailed notes on a weekly basis to recap what has happened in their absence. Of course whenever possible, these employees should be included in staff meetings and receive copies of correspondence which will keep them up to date on the happenings at each of the communities where they work.

How do you make sure that the same quality of service being pro-vided Monday through Friday car-ries over on the weekend? What happens when a manager or leasing consultant goes on vacation or gets sick, and someone from another community fills in? Do you have an established way to communicate what is rent ready, as well as any pending resident issues? It’s hard to function as a team if all the players are not “well-equipped.” Ultimately, the ability to communicate effective-ly with part-time or weekend staff could make or break your leasing

ratio for the week. After all, the weekends are typically the busiest days for apartment hunting. Are your part-timers and weekend float-ers fixing

to “fumble the ball” or have they been set up to “score rentals?”

If you are interested in leasing training or have a question or con-cern that you would like to see addressed, please reach out to me via e-mail. Otherwise, please contact Jancyn for your employee evaluation needs: www.jancyn.com

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Rental Housing Journal Valley • March 2015 7

RENTAL HOUSING JOURNAL VALLEY

OLD STANDARDProduct Volume EFGas-fired 20-55 gallon .67Gas-fired 55-100 gallon .67Oil-fired 0-50 gallon .59

Electric 20-55 gallon .97Electric 55-120 gallon .97Tabletop 20-100 gallon .93Instant Gas 0-2 gallon .62Instant Electric 0-2 gallon .93

NEW STANDARDProduct Volume EFGas-fired 20-55 gallon .675Gas-fired 55-100 gallon .8012Oil-fired 0-50 gallon .68Electric 20-55 gallon .960Electric 55-120 gallon 2.057Tabletop 20-100 gallon .93Instant Gas 0-2 gallon .82Instant Electric 0-2 gallon .93

DIFFERENCEEF.005.1312.09-.011.0870.200

Manufacturers can employ new technologies such as heat pumps, which help reduce energy use by 50%, to upgrade electric water heat-ers. Condensing technologies can reduce energy use in gas storage containers by 25%. The low-tech solution, adding more insulation, may cause more complications. While adding 1 inch of insulation would increase EF by .05, it would

also broaden the heater by 2 inches in diameter. Knowing that water heater installations in multi-family structures are space defined, manu-facturers may also reduce tank capacities to allow NAECA-compliant units to fit in predeter-mined spaces, as the floor plans and common plumbing designs typically found in multifamily units will pre-vent relocation of the water heater.

What will this cost property owners?Since manufacturers have yet to

release the new heaters, the only cer-tainty for the owners of properties with large-volume gas or electric heaters is that those manufactured after April 16th will save money in operating costs. However, the improved technologies are likely to come with a higher price tag, as any new technology improvement usu-

ally does. Following the last major efficiency upgrade in 2004, prices for the new standard equipment increased 8-12%.

The DOE estimated the following cost implications for the 2015 stan-dards:

Product EF Average Cost Cost Increase Cost Savings* Payback Period

Gas-fired .62 (40 gal) $1,072 $92 $6 2 years

Gas-fired .76 (56 gal) $1,261 $805 $77 9.8 years

Electric .95 (50 gal) $554 $140 $10 6.9 years

Electric 2.0 (56 gal) $729 $974 $626 6 years

Oil-fired .62 (32 gal) $1,974 $67 $295 .5 years

Instant Gas .82 (0 gal) $1,779 $601 $6 14.8 years

Water Heater ..continued from front page

The cost savings refer to the costs of owning and operating the product after considering both the increased installed price and the lifetime oper-ating costs.

Maintenance costs may also increase due to the complex design

of the new technology and the inte-gration of electronics, blowers, fans, condensers, etc. Anyone who servic-es water heaters may also struggle with a learning curve.

Considerations Residential property owners need

to review their options carefully when replacing a large volume water heater in the near future. Don’t wait until the heater fails to plan for its successor. Being aware of the condi-

tions of the current heater, including its footprint, both physical and car-bon, can save property owners head-aches and money down the road.

8 Rental Housing Journal Valley • March 2015

RENTAL HOUSING JOURNAL VALLEY

2 Rental Housing Journal Metro • March 2015

RENTAL HOUSING JOURNAL METRO

IT’S JUST SMART BUSINESS

CASE STUDIES ABOUT MULTIFAMILY PROPERTIES

Energy Trust has helped hundreds of multifamily property owners and managers get more from their energy by saving them thousands in operating costs and improving their bottom line.

“We’ll save over $12,000 in energy bills each year because we upgraded to energy-ef cient

exhaust fans. Plus, Energy Trust of Oregon gave us $19,000 in cash incentives just for

upgrading. Our rst-year of energy savings, combined with Energy Trust cash incentives,

paid for our project costs.

Jeff Hart, senior maintenance specialist

College Housing Northwest • Portland, Oregon ”+Get more from your energy. To learn more visit www.energytrust.org/multifamily or call 1.877.510.2130.

Serving customers of Portland General Electric, Pacifi c Power, NW Natural and Cascade Natural Gas.

IT’S JUST SMART BUSINESS

CASE STUDIES ABOUT MULTIFAMILY PROPERTIES

Energy Trust has helped hundreds of multifamily property owners and managers get more from their energy by saving them thousands in operating costs and improving their bottom line.

“We’ll save over $12,000 in energy bills each year because we upgraded to energy-ef cient

exhaust fans. Plus, Energy Trust of Oregon gave us $19,000 in cash incentives just for

upgrading. Our rst-year of energy savings, combined with Energy Trust cash incentives,

paid for our project costs.

Jeff Hart, senior maintenance specialist

College Housing Northwest • Portland, Oregon ”+Get more from your energy. To learn more visit www.energytrust.org/multifamily or call 1.877.510.2130.

Serving customers of Portland General Electric, Pacifi c Power, NW Natural and Cascade Natural Gas.

IT’S JUST SMART BUSINESS

CASE STUDIES ABOUT MULTIFAMILY PROPERTIES

Energy Trust has helped hundreds of multifamily property owners and managers get more from their energy by saving them thousands in operating costs and improving their bottom line.

“We’ll save over $12,000 in energy bills each year because we upgraded to energy-ef cient

exhaust fans. Plus, Energy Trust of Oregon gave us $19,000 in cash incentives just for

upgrading. Our rst-year of energy savings, combined with Energy Trust cash incentives,

paid for our project costs.

Jeff Hart, senior maintenance specialist

College Housing Northwest • Portland, Oregon ”+Get more from your energy. To learn more visit www.energytrust.org/multifamily or call 1.877.510.2130.

Serving customers of Portland General Electric, Pacifi c Power, NW Natural and Cascade Natural Gas.

IT’S JUST SMART BUSINESS

CASE STUDIES ABOUT MULTIFAMILY PROPERTIES

Energy Trust has helped hundreds of multifamily property owners and managers get more from their energy by saving them thousands in operating costs and improving their bottom line.

“We’ll save over $12,000 in energy bills each year because we upgraded to energy-ef cient

exhaust fans. Plus, Energy Trust of Oregon gave us $19,000 in cash incentives just for

upgrading. Our rst-year of energy savings, combined with Energy Trust cash incentives,

paid for our project costs.

Jeff Hart, senior maintenance specialist

College Housing Northwest • Portland, Oregon ”+Get more from your energy. To learn more visit www.energytrust.org/multifamily or call 1.877.510.2130.

Serving customers of Portland General Electric, Pacifi c Power, NW Natural and Cascade Natural Gas.

IT’S JUST SMART BUSINESS

CASE STUDIES ABOUT MULTIFAMILY PROPERTIES

Energy Trust has helped hundreds of multifamily property owners and managers get more from their energy by saving them thousands in operating costs and improving their bottom line.

“We’ll save over $12,000 in energy bills each year because we upgraded to energy-ef cient

exhaust fans. Plus, Energy Trust of Oregon gave us $19,000 in cash incentives just for

upgrading. Our rst-year of energy savings, combined with Energy Trust cash incentives,

paid for our project costs.

Jeff Hart, senior maintenance specialist

College Housing Northwest • Portland, Oregon ”+Get more from your energy. To learn more visit www.energytrust.org/multifamily or call 1.877.510.2130.

Serving customers of Portland General Electric, Pacifi c Power, NW Natural and Cascade Natural Gas.

IT’S JUST SMART BUSINESS

CASE STUDIES ABOUT MULTIFAMILY PROPERTIES

Energy Trust has helped hundreds of multifamily property owners and managers get more from their energy by saving them thousands in operating costs and improving their bottom line.

“We’ll save over $12,000 in energy bills each year because we upgraded to energy-ef cient

exhaust fans. Plus, Energy Trust of Oregon gave us $19,000 in cash incentives just for

upgrading. Our rst-year of energy savings, combined with Energy Trust cash incentives,

paid for our project costs.

Jeff Hart, senior maintenance specialist

College Housing Northwest • Portland, Oregon ”+Get more from your energy. To learn more visit www.energytrust.org/multifamily or call 1.877.510.2130.

Serving customers of Portland General Electric, Pacifi c Power, NW Natural and Cascade Natural Gas.